Khaitan & Co has played a pivotal role in the execution of a comprehensive scheme of arrangement for the demerger of Vedanta Limited into four distinct entities. The demerger splits Vedanta Limited into Vedanta Aluminium Metal Limited, Vedanta Power Limited (formerly known as Talwandi Sabo Power Limited), Vedanta Oil & Gas Limited (formerly Malco Energy Limited), and Vedanta Iron and Steel Limited. This strategic move was configured as a vertical split, whereby each Vedanta Limited shareholder received one equity share in each of the new companies, based on holdings as of the record date, May 1, 2026.
A significant aspect of this demerger involved the distribution of approximately ₹73,853 crore in consolidated debt among the resulting companies, taking into account their respective capacities for cash generation. Khaitan & Co was entrusted with overseeing the entire restructuring process. This included managing the listing of equity shares and both secured and unsecured non-convertible debentures of Vedanta Aluminium Metal, as well as the equity shares of Vedanta Power, Vedanta Oil & Gas, and Vedanta Iron and Steel on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).
The firm’s responsibilities extended to providing guidance on transition services, intra-group asset and share transfers, and the transfer of regulated assets. Additionally, advisory services concerning the Vedanta Employee Stock Option Scheme (ESOS) Trust were also part of their mandate.
The core team from Khaitan & Co comprised Senior Partner Haigreve Khaitan, Partners Mehul Shah, Anand Mehta, Vaibhav Mittal, Dipen Chatterjee, Manisha Shroff, and Aman Yagnik, alongside Counsel Rushabh Gala. They were supported by Counsel Mohit Nad, Principal Associate Amit Panwar, Senior Associates Keshav Tibarewalla, Mayank Chaturvedi, Mishi Malhotra, and Nikunj Mehta, Associates Mainak Pani, Aditi Swapnil Rathi, and Priyam Indurkhya.
Furthermore, the corporate aspects were managed by Principal Associate Saranya Mishra, Senior Associate Hansaja Pandya, Associate Tirthesh Jain, and Associate Anmol Sharma. Regulatory issues pertaining to mining and oil & gas were handled by Partner Dibyanshu and Senior Associate Ashish Jain. The real estate aspects were overseen by Partners Gaurav Dasgupta and Rusha Mitra. Direct tax and ESOP advisory services were provided by Executive Director Hiten Kotak, Partner Shabnam Shaikh, Senior Associate Pranav Doshi, Associate Ansha Bhagat, and Associate Anupama Iyer.
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This initiative marks one of India’s most extensive corporate restructuring exercises, with a pre-demerger market capitalization at approximately ₹2.82 lakh crore and an enterprise value of around ₹3.50 lakh crore. The combined target valuation per share was valued at ₹936, and the demerger has resulted in unlocking nearly ₹50,000 crore in market capitalization on the initial day of listing.
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